Which method of setting an advertising budget is based on analyzing competitors' spending?
A) the percentage-of-sales method
B) the top-down method
C) the bottom-up method
D) the objective-task method
E) the competitive-parity method

Question

Quizplus · Accepted Answer

The competitive-parity method is the method of setting an advertising budget based on analyzing competitors' spending. This involves determining the amount of money that competitors are spending on advertising and setting a budget that is equal (or close to equal) to that amount. This method ensures that a company is not overspending or underspending on advertising relative to its competitors.

Which Method of Setting an Advertising Budget Is Based on Analyzing